Term life insurance
Life insurance can be confusing. How do you know which type of insurance is the best for investment?
Well, why not consider term life insurance? Get in touch with us for more information on term life insurance in Mississauga.
What is term life insurance?
Term life insurance is an insurance that guarantees tax-free returns for the beneficiary if the policy holder dies during the specified term. Once the term expires, you can either renew the policy for another term, convert it into a permanent coverage or allow the policy to terminate.
Your insurance costs will remain the same for the specified period of time.
In other words, term life insurance is a temporary coverage that provides you financial safety over a specified period of time.
To learn more about term life insurance in Brampton, contact us.
Why choose term life insurance?
- Affordability – Term life insurance costs are a fraction of the cost of permanent life insurance because it is temporary. The costs also do not vary over the specified period of time.
- Specified term length – The term length of this insurance can be specified to match your needs. The amount of time you need coverage can range anywhere between five years to thirty years. To decide how much coverage to buy, you can also add your obligations, debts, household expenses and child support.
- Simple policies – The policies for this insurance tend to be more understandable. This insurance pays a death benefit to your beneficiary if you die while your policy is in force. Once the term ends and you stop paying premiums, the policy ends. It need not have any other additional components.
- Competitive pricing – The policies can easily be compared to help you find the one most suitable for you. This is made easier by the fact that they are structurally similar and simple to understand. This has also created a very competitive market for various customers.
- Flexibility – It is easier to opt out of term life insurance than cash value based policies. In these policies, all you need to do is stop paying the premium to end the policy and cease the risk cover at 500 pound loan.
Key take aways for term life insurance
Here are a few things you need to remember about term life insurance policies.
- If the insured person dies within the specified term of the policy, the beneficiary is guaranteed the death benefit.
- These policies have no savings components. They offer no other value than the death benefit to the beneficiary.
- These premiums are based on a person’s health, age and life expectancy.
To learn more about term life insurance in Brampton and Mississauga, get in touch with the advisors at Rai Rupinder.